Real Steel

One thing I have learned in my decades of investing is that very few sure bets present themselves in any given year -- except going with the current SEC champion against any Midwestern team for college football's BCS title at a neutral field. That said, every dog eventually has its day. Stocks and sectors that have underperformed for months or years can be the strongest performers in the months and years ahead. Good examples of this are banks and homebuilders. Both sectors were lousy investments for years but turned around in 2012 to be among the best market performers over the past 12 months.

The steel sector and the companies that supply the industry have underperformed the overall market significantly since late spring. Concerns about a slowdown of worldwide growth, poor pricing, overcapacity and a rough patch in the Chinese economy all contributed to a decline in the sector. Skies seem to be brightening, however, with rising prices and more certainty around demand from China. The sector has started to bounce back. Here are two cheap stocks that could perform well if the sector continues to rebound....362 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.